LevelBlue acquires cybersecurity co Cybereason

Cybereason, founded in Israel, and which was once valued at $2.73 billion, raised money earlier this year at a valuation of $850 million.

US cybersecurity services company LevelBlue has acquired cybersecurity company Cybereason, which was founded in Israel, and still maintains a development center here. No financial details were disclosed in an all-share deal between two privately-held companies.

Cybereason was formerly a unicorn, which raised money at a valuation of $2.73 billion at the peak of the tech boom in October 2021 but saw its valuation crash to $475 million in October 2023, according to PitchBook, before recovering to $850 million, when it raised $120 million earlier this year in March, bringing the total amount raised to $1 billion. Main investors include former US Treasury Secretary Steve Mnuchin’s Liberty Strategic Capital and SoftBank, which will become shareholders in LevelBlue. Mnuchin joins LevelBlue’s board.

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Cybereason has developed an extended detection and response (XDR) platform, a threat intelligence team, and digital forensics and incident response (DFIR) capabilities. The company is in fierce competition with Palo Alto Networks and SentinelOne and the acquisition is part of consolidation in the industry with a wave of mergers and acquisitions over the past year.

LevelBlue was spun off over the past year from AT&T to provide customers with managed cybersecurity consultancy and integration services. The company is controlled by US private equity firm WillJam Ventures and according to PitchBook has 2,500 employees and annual revenue of about $1 billion.

Published by Globes, Israel business news – en.globes.co.il – on October 15, 2025.